UPS/IPA 401(k) Savings Plan Investment Model Portfolios

Investment options of UPS/IPA 401(k) Savings Plan

Total Available Funds: 11

Asset Class

Ticker

Description

Emerging Market
DIVERSIFIED EMERGING MKTS	ODVYX	Oppenheimer Developing Markets Y

Others
ROOT	FMPXX	FID INST MMKT
ROOT	ODVIX	Oppenheimer Developing Markets I
ROOT	-	Vanguard Value Index Institutional Fund

FIXED INCOME
Intermediate-Term Bond	FXNAX	Fidelity Spartan US Bond Idx Advtg Instl
Inflation-Protected Bond	VIPIX	Vanguard Inflation-Protected Secs Instl

INTERNATIONAL EQUITY
Foreign Large Blend	FSPSX	Fidelity Spartan Intl Idx Advtg Instl

US EQUITY
MID-CAP BLEND	FSEVX	Fidelity Spartan Extnd Mkt Idx Advtg
LARGE BLEND	FXSIX	Fidelity Spartan 500 Index Institutional
MID-CAP VALUE	VMVAX	Vanguard Mid-Cap Value Index Admiral
SMALL BLEND	VSCIX	Vanguard Small Cap Index Instl

Investment model portfolios

We provide two types of investment model portfolios for UPS/IPA 401(k) Savings Plan participants. You can customize and follow a model portfolio in your plan account.

Types of portfolio strategies

Strategic asset allocation portfolio: It invests in a diversified portfolio of multiple assets, buy-and-hold without frequently changing the asset allocation weights.
- Suitable: For long-term (more than 15 years, preferably more than 20 years), want to be tax efficient and can withstand interim drawdown or loss as high as 50% or more.
- Pros:
  - Less error-prone
  - Infrequent rebalancing or transactions
  - Tax efficient for taxable brokerage investments
- Cons:
  - Interim loss or drawdown can be substantial
  - Possible low returns for an extended period, such as 10 years or longer
Tactical asset allocation portfolio: it invests in a diversified portfolio of multiple assets, dynamically adjust stock and bond allocations to minimize losses during market stress.
- Suitable: For long-term (more than 10 years or preferably longer) capital. Investors are willing to rebalance as frequent as monthly.
- Pros:
  - Reduce large interim loss or drawdown
  - Less sensitive to investment entry point
  - Likely to improve returns
- Cons
  - Demand more frequent rebalancing or transactions
  - Less tax efficient — more suitable in a tax-deferred account such as 401(k) or IRA
  - Can experience a period of lower returns compared to a broad-based strategic allocation or a buy-and-hold benchmark, especially in some bull markets

These portfolios are proactively monitored and rebalanced on a monthly basis when needed, ensuring it remains in line with its target allocation.

Let us know (Email us) if you need help to create a custom model portfolio for your plan.

Customize a model portfolio now

Retirement Plan (401(k)) Info for UPS/IPA 401(k) Savings Plan

UPS/IPA 401(K) SAVINGS PLAN

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